QuantumResources Ltd. said July 19 that it has completed the due diligenceand entered formal agreements to acquire Manitoba Minerals Pty. Ltd., which holds rights to earnup to 95% stake in the Thompson Brothers lithium property in Manitoba.

The completion of the acquisition is conditional uponManitoba Minerals acquiring necessary approvals, formalizing its rights to theproject under a heads of agreement with Ashburton Ventures Inc., as well as the companycompleting a share subscription to satisfy conditions under the project'soption agreement withStrider ResourcesLtd., and a capital raising of A$400,000.

These conditions must be satisfied by Aug. 31.

In addition, the ASX-listed company is finalizing aA$400,000 loan facility, which is expected to be completed in coming days.

The amount will be used to repay lenders by issuingfully-paid ordinary shares at 2 cents each. Each share comes with afree-attaching option exercisable at 3.25 cents by Nov. 17, 2018.

The loan carries an annual 10% interest rate.